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01. If annual tsage for an inventory item is 50,000 units, lead time is three days, and safety stock is 100 units, the reorder points

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01. If annual tsage for an inventory item is 50,000 units, lead time is three days, and safety stock is 100 units, the reorder points is: (note: this company is working 250 days during the year) ROP=(d)(LT)+SS 02. LEE is selling 4 computer every day. Ordering cost is $100 per order, and the computer costs LEE $1,000 (i.e., price is $1,000 ). Orders arrive three days from the time they are placed. Holding cost is equal to two percent (2% ) of the cost of the computer. If LEE is opening his store 250 days during the year. what would be the average inventory level? 03. Which of the following is NOT an assumption of the economic order quantity model shown below? Q=H2DS where S = Ordering (or Setup) Cost and H= Holding (or Carrying) Cost a. Demand is known, constant, and independent. b. Lead time is known and consistent. c. Quantity discounts are not possible. d. Demand is unknown and dependent on the market condition. (04-05) LEE just opens the gift store in Glassboro. He purchases cards from Hall Marks for $10 each box. Lee's gift store expects to sell 10 boxes of card a week. Lee's store estimates it cost them $5.00 to place an order, and holding cost is about 20% purchase cost per box. It usually takes 5 days to get each order because of its high demar 04. What is the economic order quantity (i.e., EOQ) of inventory (Find nearest value)? 05. What is the annual total cost inventory cost per year (i.e. total ordering cost + total carrying cost)? (06-08) The LEE's computer manufacturing company plans on the steady demand of a special component part in its main CPU of 20 units per day. If the part is purchased it cost the company $30 per unit. The cost of placing order is $20 per order. The company's carrying cost is estimated to be 20 percent of the value of inventory (i.e., 20% of purchasing price). Assume that LEE's company operates a 200-day working year and no shortages are allowed due to the cost of disrupting the manufacturing process. (Choose the nearest value from the given answers) 06. What is the average inventory? 07. What is the total inventory carrying costs (i.e., total carrying cost per year)? 08. What is the number of order during the year (i.e., How often is LEE supposed to place an order during the year)

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